Uganda’s Insurance Industry Urged to Embrace Technology

(Fort Portal) – Uganda’s insurance industry is under increasing pressure to adopt digital solutions, with experts emphasizing that this transformation is essential for growth and competitiveness. Speaking at the 5th Annual International Insurance Conference in Fort Portal, stakeholders highlighted the critical role of digital technology in shaping the future of the industry.

Alhaj Ibrahim Lubega Kaddunabbi, Chief Executive Officer of the Insurance Regulatory Authority (IRA), outlined the urgent need for digital transformation. “Insurers must adopt it to remain relevant in the business,” he stated. Kaddunabbi also noted that companies must prioritize investment in security infrastructure and data protection to safeguard customer information, acknowledging that cyber risks are a growing concern.

While digital technology promises more efficient operations and improved service, Kaddunabbi warned of the risks involved. He emphasized that the sector needs to be proactive in protecting sensitive data, as cyberattacks on insurers are becoming more frequent and sophisticated. “Even though we are concerned about cyber threats, we believe that with the right measures, we can remain safe,” he added.

Kaddunabbi explained that digital transformation not only helps insurers operate more efficiently but also reduces paperwork and enhances customer experience. He stressed that investing in cyber capabilities and governance frameworks is essential, as insurance companies that can streamline operations and manage emerging risks will stand out in the competitive market.

“The digital agenda for Uganda’s insurance industry is extensive and promising,” he said. “In the coming years, companies will be defined by how effectively they leverage technology to enhance customer experience, streamline operations, and manage emerging risks.”

The conference, held at Nyaika Hotel in Fort Portal, was attended by over 250 participants, including representatives from banks, regulatory bodies, and insurance practitioners from Uganda and abroad. The theme, “The Digital Agenda – What Next for the Insurance Industry,” brought together a wide range of perspectives on advancing the digital journey in Uganda’s insurance sector.

William Kwemara Ngabu, Deputy Prime Minister of the Tooro Kingdom, represented King Oyo Kabamba Iguru at the event. Ngabu emphasized that digital technology is essential for Uganda’s development and urged the insurance sector to embrace it fully. He also stressed the importance of public education on insurance concepts like risk pooling and probability to build trust in the industry.

Ngabu highlighted that small and medium enterprises (SMEs), which are key drivers of the Ugandan economy, face particular challenges in accessing insurance. Many SMEs view premiums as an added cost, and Ngabu pointed to the need for customized insurance products to meet their specific needs. “The customer must be at the center of service delivery,” he said, adding that companies should tailor their services to meet the unique needs of their clients.

Saul Sseremba, CEO of the Insurance Training College (ITC), spoke on the advantages of digitalization for customer engagement. He explained that today’s customers expect more personalized and immediate services, which digital solutions can help deliver. “With digital solutions, companies can offer more convenient and efficient services, whether through mobile applications, online claims processing, or AI-powered customer support. This makes insurance services more accessible and customer interactions more seamless,” Sseremba stated.

Key Aspects of Uganda’s Digital Insurance Transformation:

Throughout the conference, speakers shared experiences and insights on the digital evolution in the insurance sector. Participants discussed how adopting digital technology could benefit Uganda’s insurance industry and explored strategies for integrating these tools to serve customers better.